HDFC Life (Photo: Shutterstock)
Shares of HDFC Life Insurance Company settled for the day with gains of over 1 per cent after the UK-based investment company Abrdn said it is planning to sell 4.3 crore shares in the private sector insurer through block deal.
Abrdn is planning to sell up to 4.3 crore shares, representing 2 per cent of HDFC Life's outstanding shares through a block deal to raise over Rs 2,425 crore.
On BSE, HDFC Life stock opened at Rs 601, and touched an intra-day high of Rs 606 and a low of Rs 585.35 during the trading session. The stock finally settled at Rs 586.90, up 1.21 per cent from its previous closing price.
At the end of Tuesday's trading session, the market capitalisation of HDFC Life Insurance Company stood at Rs 1,24,027.23 crore.
On the NSE, shares of the company opened at Rs 605 apiece, and finally ended the day at Rs 586.50, higher by 1.37 per cent from its previous closing price.
The 30-share Sensex rose 455.95 points or 0.76 per cent to close at 60,571.08 points. The broader Nifty climbed 133.70 points or 0.75 per cent to settle at 18,070.05 points.
The Edinburgh-based company, which was formerly known as Standard Life Aberdeen, has offered the shares in the price band of Rs 564.1-578.55, which is a discount of up to 2.5 per cent on the scrip's close on Monday in the block deal.
The shareholding of Abrdn, one of the promoters of the insurer, will fall to 1.7 per cent after the trade is executed from the present 3.7 per cent, as per the term sheet. Mortgage major HDFC, the other promoter in the private sector insurer, will continue to hold 48.7 per cent of the company.
Bofa Securities is the sole bookrunner for the sale of shares.
At the lower end of the offer price range, Abrdn will be booking an income of Rs 2,425.6 crore or USD 305 million.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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First Published: Tue, September 13 2022. 17:42 IST